On Monday, the pressure on cryptocurrencies continued, taking another 1.3% off bitcoin to 38.9k, sending it testing March lows.
The total capitalization of the cryptocurrency market, according to CoinMarketCap, was little changed over the week, remaining at 1.8 trillion, as a wave of buying in the first half of the week turned into a strong sell-off in the second. The bitcoin dominance index rose 0.2% to 41.2% over the same period.
The index Crypto Fear and Greed went from 24 to 27 and got back to where it started during the week. On Monday, the index had lost another point to 23, remaining in extreme fear territory.
Bitcoin fell for the third week in a row, as did stock indices. In the first half of last week, BTC attempted to move higher, renewing its week-and-a-half highs around $43,000. Thursday and Friday saw a sharp pullback, along with the stock market, and bitcoin broke below the circular $40,000 level.
Changpeng Zhao, the chief executive of Binance, said cryptocurrency adoption will increase with escalating geopolitical tensions and the growing use of the dollar as a sanctioning tool. He believes that the United States will lose out to the rest of the world if they continue to phase out bitcoin.
A group of US congressmen have spoken out against cryptocurrency mining using the consensus algorithm Proof-of-Work (PoW), harmful to the environment. They said the cryptocurrencies of most concern are BTC, ETH, XMR, and ZEC.
The European Union has considered banning bitcoin trading due to its energy and environmental impact. Bitcoin’s energy consumption continues to rise and is attracting the attention of environmental organizations and regulators.
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